tv KPIX 5 News at 7pm CBS March 12, 2019 7:00pm-7:30pm PDT
more than a dozen bay area parents indicted in a sweeping college admission scheme, a look at how far parents were allegedly willing to go to land their kids a spot at a top college. >> i'm extremely concerned about what i've heard with these allegations and this just hit me in the gut. >> plus a bay area special ed teacher arrested for running a fight club in his classroom. >> and what's happening in the next few months that could create hundreds of instant millionaires in the bay area. kpix5 news at 7:00 starts right now. good evening. i'm elizabeth cook. >> i'm ken bastida. we begin with this college admissions scandal that everyone is talking about. kpix5's susie steimle reports the unprecedented federal case has ensnared about 15 people
from the bay area including a stanford coach who was fired today. >> reporter: parent involved in this bribery scandal are accused of spending from $100,000 up to $6.5 million per student to get their students into these elite universities. now 33 parents have been charged, but the fbi is promising more charges are to come. the vegas nicknamed varsity blues is referred to as the largest college scam in u.s. history. 50 people have been charged. parents are charged with paying to inflate their children's s.a.t. scores. others are accused of bribing coaches of one is coach john vandemoer, stanford's sailing coach. he pleaded guilty today. >> for every student admitted through fraud an honest, genuinely talented student was rejected. >> reporter: the fbi released recordings of parents knowingly
participating in this scam. the owner of a distillery is accused of paying nearly a half million dollars to secure a spot for her son at usc. a recorded conversation shows a cooperating witness ask her are you willing to make a contribution of several hundred thousand as a donation to get him in as a participant in someone's program? she replied yes, but he can never know. the witness responded he needs to get in through football since that's the sport with the lowest grades. another bay area parent, who owns a winery in napa, prosecutors say his daughter's athletic profile was faked. in recorded conversations he says is there any risk this blows up in my face? the cooperating witness replies it hasn't in 24 years. >> this is a case where they flaunted their wealth, sparing no expense to cheat the system so they could set their children up for success with the best education money could buy literally. >> reporter: as it stands
right now, no students have been charged. the fbi says that's going to be a decision the universities will have to make individually. on stanford's campus, susie steimle, kpix5. >> a judge has said actress felicity huffman can be released on $250,000 bond. the desperate housewives star allegedly paid $15,000 disguised as a donation to a college prep business to doctor her oldest daughter's entrance exam. prosecutors say huffman also discussed having someone take the test for her younger daughter but decided against it. court papers also show full house actress lori loughlin and her husband agreed to pay bribes totaling half a million dollars to boost their daughter's chances of getting into usc. loughlin also allegedly said she would arrange for one daughter to be photographed on a rowing machine to support the false claim that she belonged to a crew team. we posted the full federal complaint and a list of all the california defendants on our
website, www.kpix.com. also tonight a teacher in the north bay accused of running a fight club with his special ed students. nightbeat's andria borba is in cloverdale right now with some new information on this. andria? >> reporter: well, ken, i spoke to the superintendent here in cloverdale just in the past hour. he says he is sickened by these charges. now these fights allegedly happened on monday and tuesday of last week in federico vargas' special education classroom. so far the district says at least 10 students, some of them special ed students, either witnessed or participated in the fights. at least one of the fight was recorded on a student's cell phone. superintendent jeremy decker has seen that video. >> this just hit me in the gut. i mean it hurts me to know that potentially some of my students, some of our students in this town, were placed in the situation that was unsafe. based on the allegations. >> reporter: now the district
turned the case over to police on thursday when another teacher heard about the fight club happening in that special ed classroom. vargas was arrested and is facing multiple counts of contributing to the delinquency of a minor and endangering children. he has posted bond at this point and is out. he's been placed on paid leave by the district pending the outcome of the investigation. they're hoping no more children were involved, but they are still looking into that. live in clovedale, andria borba, kpix5. we are expecting any minute now the tom lantos tunnel along highway 1 in san mateo county is expected to reopen. lanes in both directions had to be shut down through rush hour due to a power outage. the closure has caused major traffic delays. chp says power has now been restored. a tech worker stabbed to death in her home in san jose, tonight police have made an arrest and kpix5's len ramirez reports it's raising new questions about santa clara
county's policy of not working with i.c.e. >> reporter: federal immigration officials say the suspect in this case had nine previous i.c.e. detainers on him from los angeles and santa clara counties, but those detainers were ignored allowing him to get back on the streets. surveillance video taken in the early morning hours allegedly shows the suspect walking the san jose neighborhood where hours later bambi larson would be found brutally murdered in her home. police arrested 24-year-old carlos eduardo arevalo carranza after matching his dna from a recent drug arrest to crime scene evidence taken from larson's home. >> critical evidence was recovered along the suspect's path of egress on knollfield including t-shirts which contained the victim's blood and the suspect's dna. >> reporter: larson, a 59-year- old biotech manager, was found murdered from several stab wounds to her neck and for torso by family members after failing to show up for work.
carranza was identified as a transient and gang member who lived in a nearby homeless encampment who might have stalked his alleged victim. >> it really looks that the individual knew exactly where they were going. >> reporter: i.c.e. officials identified carranza as a salvadoran national arrested for illegally crossing the border in texas in 2013 and was deported, but he apparently reentered the u.s. committing several other crimes including battery, false imprisonment and several drug offenses. i.c.e. says they filed nine previous detainers on carranza, three in los angeles county and six in santa clara county, but i.c.e. said the detainers, which are a request to notify immigration officials before the suspect was released from jail, were ignored. chief garcia says something has to change. >> let me be clear. we are here to protect and to embrace our otherwise law abiding undocumented residents. we are not here, nor should we be here to shield admitted
gangsters or violent criminals regardless of immigration status. >> reporter: now this case is sure to be highly politicized and is already adding to the debate over california and santa clara county's sanctuary laws. in san jose, len ramirez, kpix5. coming up think the bay area is expensive now? just wait. >> a whole new wave of instant millionaires could be coming your way. >> these planes are accidents waiting to happen. >> what the faa is saying tonight about grounding the type of plane involved in two deadly crashes. >> plus a decision on whether pg&e will face criminal charges for the wine country wildfires. >> that plus changes ahead as we head toward the weekend in the bay area and for the first time we're getting at least a hint of the next time it will rain. we'll have that when we come back.
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>> rent in san francisco is already one of, if not the most expensive, in the country and those prices are expected to climb as new wealth enters the market, a lot of it in a short amount of time. that could make for a very interesting and expensive future. big entrances on wall street could make a big difference in san francisco's cost of living. six major tech companies plan to go public this year, all based in s.f., all but one valued at more than $10 billion each, some much more than that. those ipos stand to make millionaires out of hundreds, possibly thousands of employees and investors almost overnight. >> a lot of people have a lot of money. they're looking for housing to buy, things to spend it on. so the city get more crowded. that's usually what happens. >> but it hasn't happened like this before. ted egan is the chief economist for the city of san francisco. he's seen plenty of big tech companies go public but not this many at 1 time. >> depending on the value of
the ipos, it could be an injection of a significant amount of new spending. >> uber, stripe, airbnb, lyft, pinterest and slack all announced their intention to go public in 2019. combined their top estimated value is more than $150 billion. if or once that happens, employees may receive bigger paychecks or shares they may own could increase significantly in value. such an influx of wealth to the market could mean life gets more expensive for the rest of us. >> a lot of the things that have gone up in value and have become more prominent in the city in the past few years, you'll see even more of that. so this could lead to another brief i think upward pressure on housing prices. >> in 2012 when facebook alone went public, median home prices in neighborhoods with a high concentration of the social network's employees increased according to a zillow study rising more than $20,000 in a
year. if history repeats itself, the average cost of an s.f. home could climb even higher than its current $1.13 million price tag. >> it's getting more expensive. housing is super hard to build these days. i just feel sorry for people who don't have houses. >> but there is a silver lining beyond the obvious economic boon. the influx of wealth means fatter coffers for the city budge of san francisco. 0.4% of whatever employees earn come in by way of a payroll tax, money many locals hope will be spent on bridging the gap of income equality for the folks who aren't so lucky. >> what you have is the have and have not's. you're looking at the end of 1 huge spectrum up here, money, money, money, another huge spectrum down here, a huge population with no funds at all. it is going to be a challenge. >> already a study by residential rental company zumper said rental prices in the city are expected to rise
ahead of the ipos. the keyword is if. most of these companies announced they were going public last year at the height of the market. since then things have slowed down. emily turner, kpix5. >> of course, nothing is a done deal or guarantee. some of these ipos may not happen or could go bust. anyone remember pets.com or web van? i could name others. so stay tuned. tonight there's growing pressure on the faa to ground all boeing 737 max passenger jets after sunday's deadly crash in ethiopia. it's the second 737 max to crash in five months. this afternoon european aviation officials grounded all of the planes and worldwide the new york times reports roughly 2/3 of 737 max planes have now been grounded, but the u.s. and canada are holding out. the faa says it does not have enough data from the crash to take action yet.
meanwhile u.s. lawmakers say passengers who don't want to fly on one of the planes should be able to change flights free of charge. >> there's no reason that the faa should be trying to save face. these planes are accidents waiting to happen until there's some assurance that either the pilots have been better trained or the problems with aircraft have been fixed. >> tonight boeing says, "we have full confidence in the safety of the max and based on the information currently available, we do not have any basis to issue new guidance to operators." >> thanks, liz. let's talk weather for just a second. >> what would you like to know? >> the rain is gone. >> pretty much. >> but the wind has moved in and that's creating its own -- >> it is causing delays in the airplanes, but i'll take that in chge for floods. >> downed trees, lost kites, kids crying, the kind of
problems we should have. >> as we do go outside tonight and things are shaken up a bit especially at the airport where there are delays, 15 to 30 minute delays. at sfo it has been breezy as kenny pointed out. at altamont gusts are up to 50 miles per hour and west marin those winds are at 43 miles an hour, but in general i think we hit the peak and are going to begin to abate tonight. tomorrow will be on the breezy side but not bad. that's pretty as we look out at sutro and the numbers now in concord have fallen into the 50s. the numbers are 5 degrees cooler tonight than last night at this time. we'll be cooler today. it's not from a cold front. that's what happened as the low pressure spun into the sierra, brought heights in the atmospheric pressure down and the temperatures down with it. high pressure builds in and on the eastern side of the high the low gets nudged aside and numbers slowly warm up. there isone more shot of clouds
coming in on thursday. tomorrow we're looking at mostly clear skies and temperatures warming up and thursday clouds come in and we get a layer of kind of hazy sunshine thursday, but we're clear it out for the weekend. here's what's going to happen. midweek sun tomorrow with less wind, seasonal temps. high clouds roll by thursday and then by the time we get to friday and saturday and sunday high pressure is built in and the temperatures come up. tonight it will be cold with starry skies, santa rosa down to 35 and 38 for livermore. daytime highs tomorrow very close to where they are supposed to be this time of year, low to mid-60s. tomorrow 58 at pacifica, morgan hill 65 degrees, sunnyvale 63 degrees. in the east bay we'll be looking at sunshine, beautiful wednesday and walnut creek 61 degrees, at the air force base at travis 64, brentwood 62 and in pleasanton it will be 63, ditto for petaluma and up 101 where hitchcock shot shadow of
a doubt in 1942, 65 degrees in santa rosa. >> wow. >> we'll look at 50s in lakeport, 58 at clearlake. extended forecast, clouds thursday but no rain and by the weekend the numbers will be in the low 70s inland. so a little warming trend on the way for the bay area by the weekend. that's weather. as for what's ahead, here's ken and liz. >> thank you. we've got sports coming up. >> i left my phone downstairs, bad news because so many deals are evolving right now. >> that quickly. >> in the nfl. it's crazy with all the deals going down right now. the 49ers made big news tonight reportedly acquiring pro bowl pass rusher dee ford from the rounpin n exchange for a no d a career high 13 sacks last season, led the nfl defense that ranked 22nd in sacks did the 49ers last year.
he reportedly get a five year deal worth over 17.5 million a year. the bigger news nationally odell beckham, jr. traded by the giants to cleveland in exchange for a first round pick, a third round pick and jabrill peppers. the 49ers were linked to beckham who was signed through 2023. nba, kevin durant will not play tomorrow night in houston. he's got an ankle injury from last night. golden state lost six of their last 10 games. watch out. houston has won nine in a row. nobody's concerned in the patriots organization with all this breaking news. that is bill belichick, patriots coach, on vacation in the bahamas. i guess that's what you can do when you win a super bowl, don't have to worry about very
much. the 49ers, nice improvement, dee ford, 13 sacks. deforest buckner had 12 last year. so they've upgraded their pass rusher. >> that's great. coming up will he or won't he? >> the big name democrat hinting that he may take on president trump in 2020. >> plus sonoma county handing down a decision on criminal charges for pg&e in the deadly wine country wildfires. >> and a judge deciding if we will be able to see court proceedings in the jussie smollett case.
>> run, joe, run! >> i appreciate the energy you showed when i got up here. save it a little longer. i may need it in a few weeks. >> biden speaking at a firefighters conference today, multiple sources telling cbs news biden is in the final stages of preparing for a 2020 campaign and is expected to make an announcement by mid- april. the british parliament just dealt a major blow to prime minister theresa may. the house of commons resoundingly rejected her brexit deal a second time. it comes just 17 days before great britain is set to leave the eu. >> i'm passionate about delivering the result of the referendum, but i believe the best way to do that is leave in an orderly way with a deal. empire actor jussie smollett made a surprise court appear appearance today.
he has been laying low. the judge ruled cameras will be allowed in court when smollett returns thursday. he was indicted on 16 counts of lying to police about a hate crime attack. tonight pg&e won't face federal charges for the wine country wildfires, that decision from the d.a.s. there is not enough to claim the utility acted with reckless disregard for life. the camp fire killed 85 people last year. coming up next the case of a lost bird making east bay residents cry fowl, why people have organized a search party to find that little guy.
this is a story about frustration, a pet bird missing since the weekend was found yesterday at an office be. >> this little cockatiel appeared stuck in the window, but no one wanted to help get it, not the fire department, not the window washing company. when strong winds blew the bird onto the roof, the building manager refused to look for it. now the owner is desperate to find the bird named juniper.
>> we all were just -- our hearts were melting for this little guy who clearly someone's beloved pet. >> i tonight want to get really emotional like on camera, but like i don't know. yeah. it's really i'm going to miss him a lot. >> experts told us pet birds cannot survive in the wild for long. a search effort of the area is being organized. hopefully they find little juniper. beautiful bird. >> that happened at one time. a little parakeet showed up at my door. we took him in and kept almost and gave him away to somebody. >> hope this has a happy ending. >> hope so. >> thank you for watching at 7:00! >> we'll be back at 11:00 for more news. to simone, i leave the van gogh.
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